Living Trust or Will California — Which Do You Need?

Attorney explains when to use a living trust, will, or both

By Rozsa Gyene, Estate Planning Attorney | State Bar #208356

Living Trust vs Will California — Key Differences

The fundamental difference: A living trust avoids probate. A will does NOT.

Feature	Living Trust	Will Only
Avoids Probate?	✓ YES	✗ NO
Probate Cost	$0	$27,000-$68,000+
Time to Transfer Assets	2-4 weeks	12-18 months
Privacy	✓ Private	✗ Public record
When Takes Effect	Immediately	After you die
Incapacity Protection	✓ YES	✗ NO
Cost to Create	$150-$400 (attorney-reviewed)	$150-$400 (same)
Best For	California homeowners, assets over $184,500	Simple estates under $184,500, no real estate

Do I Need a Living Trust or Will in California?

Use this decision tree to determine what you need:

You NEED a Living Trust If You:

• ✓ Own a home in California (most important indicator)
• ✓ Have assets over $184,500 (California's small estate limit)
• ✓ Want to avoid probate ($27K-$68K+ in fees, 12-18 months)
• ✓ Want assets to transfer quickly (2-4 weeks vs 12-18 months)
• ✓ Value privacy (trust stays private, will becomes public)
• ✓ Have minor children (control when they inherit)
• ✓ Want incapacity protection (successor trustee takes over if you can't manage affairs)
• ✓ Own property in multiple states (avoids probate in each state)

A Will Alone Might Be Okay If You:

• Do NOT own real estate
• Have assets under $184,500
• Don't mind your family going through probate
• Don't mind 12-18 months delay and $27K-$68K+ fees
• Don't care about privacy (probate is public record)

Reality check: If you own a California home worth $700,000 (median California home price), your estate will owe $38,000-$68,000 in probate fees if you only have a will.

Living Trust vs Will California — Real Cost Comparison

Let's compare the total cost for a typical California homeowner with a $700,000 home:

Scenario 1: Living Trust ($150 upfront, $0 probate)

Cost Item	Amount
Create living trust (attorney-reviewed)	$150
Probate fees when you die	$0
Time to transfer assets	2-4 weeks
TOTAL COST	$150

Scenario 2: Will Only ($150 upfront, $38,000-$68,000 probate)

Cost Item	Amount
Create will	$150
Probate fees when you die (4-7% of $700K)	$38,000-$68,000
Time to transfer assets	12-18 months
TOTAL COST	$38,150-$68,150

Savings with living trust: $38,000-$68,000

Return on investment: Spend $150 now, save $38,000-$68,000 later. That's a 25,000% ROI.

Which is Better: Trust or Will in California?

For California homeowners: Living trust is better. Here's why:

Living Trust Advantages Over Will

1. Avoids Probate (Saves $27,000-$68,000+)

California probate costs 4-7% of your gross estate value. For a typical $700,000 home:

• Executor fee: $19,000-$34,000
• Attorney fee: $19,000-$34,000
• Total: $38,000-$68,000+

A living trust avoids probate entirely. Your family pays $0 in probate fees.

2. Transfers Assets in 2-4 Weeks (vs 12-18 Months)

With a will, your family waits 12-18 months for probate to complete. With a living trust, assets transfer in 2-4 weeks.

3. Stays Private (vs Public Record)

• Will: Filed with probate court. Anyone can look up what you owned, who inherited, how much.
• Living trust: Never filed with court. Remains completely private.

4. Protects You If Incapacitated

If you become unable to manage your affairs (dementia, stroke, illness):

• Living trust: Successor trustee immediately steps in, manages assets, pays bills. No court involvement.
• Will only: Family must go to court for conservatorship ($5,000-$10,000, takes months).

5. Works Immediately (vs After Death)

• Living trust: Takes effect as soon as you sign it. Provides protection now.
• Will: Only takes effect when you die. Doesn't help if you're incapacitated.

When a Will is Better Than a Living Trust

A will alone might be sufficient if:

• You're young (under 30) with minimal assets
• You rent (don't own property)
• Your total assets are under $184,500
• You don't mind your family going through probate

Even then, you'll probably need a trust eventually as you accumulate assets and buy a home.

Do I Need Both a Living Trust and a Will?

Yes, most people need both. Here's why:

What a Living Trust Does (That a Will Doesn't)

• Holds your main assets (home, bank accounts, investments)
• Avoids probate for everything in the trust
• Provides incapacity protection
• Transfers assets quickly and privately

What a Pour-Over Will Does (That a Trust Doesn't)

• Catches forgotten assets: Anything you forgot to put in the trust "pours over" into the trust when you die
• Names guardians: Only a will can name guardians for minor children (can't do this in a trust)
• Backup protection: Safety net in case you acquire new assets and forget to add them to the trust

Complete Estate Plan = Living Trust + Pour-Over Will + Powers of Attorney

A proper California estate plan includes:

1. Revocable living trust (avoids probate for main assets)
2. Pour-over will (backup + names guardians for minor children)
3. Durable power of attorney (for financial decisions if incapacitated)
4. Healthcare power of attorney (for medical decisions if incapacitated)
5. HIPAA authorization (allows family to access medical records)

Living Trust California provides all 5 documents for $150.

Living Trust or Will California — Decision Guide

Your Situation	What You Need	Reason
Own California home	Living trust + pour-over will	Avoid $38K-$68K+ probate fees
Assets over $184,500	Living trust + pour-over will	Avoid probate (anything over $184,500 requires probate)
Married with home	Joint living trust + pour-over wills	Avoid probate twice (when each spouse dies)
Minor children	Living trust + pour-over will	Trust avoids probate + will names guardians
Under 30, renting, under $100K assets	Will only (for now)	Simple estate, can upgrade to trust when you buy home
Over 50, any assets	Living trust + pour-over will	Incapacity protection becomes more important
Want to avoid probate	Living trust + pour-over will	Only way to avoid probate in California

Common Questions: Living Trust or Will California

Can I have both a living trust and a will?

Yes, and you should. Most California homeowners have both:

• Living trust for main assets (home, accounts)
• Pour-over will as backup + to name guardians

If I have a living trust, do I still need a will?

Yes. You need a pour-over will to:

• Catch any assets you forgot to put in the trust
• Name guardians for minor children (can only be done in a will)
• Provide backup instructions

Is it better to have a will or a trust in California?

Trust is better if you own a home or have assets over $184,500. A will alone requires probate ($27K-$68K+ fees, 12-18 months). A trust avoids probate entirely.

What happens if I only have a will in California?

When you die, your estate goes through probate:

• Court process takes 12-18 months
• Probate fees: 4-7% of estate value ($38K-$68K+ for $700K home)
• Everything becomes public record
• Family can't access assets during probate

Can a living trust replace a will?

Almost, but not entirely. A living trust can do most of what a will does, but you still need a pour-over will to:

• Name guardians for minor children
• Catch forgotten assets
• Provide backup protection

How much does a living trust cost vs a will in California?

Same price to create, very different total cost:

• Living trust + pour-over will: $150 upfront, $0 probate later = $150 total
• Will only: $150 upfront, $38K-$68K+ probate later = $38,150-$68,150 total

What is cheaper: a will or a living trust?

Long-term: Living trust is MUCH cheaper.

• Both cost $150 to create
• Trust saves $38,000-$68,000+ in probate fees later
• Will costs 250-450x more in the long run

How to Get a Living Trust and Will in California

You have three options:

Option 1: Online with Attorney Review ($150) — Best Value

Option 2: Traditional Attorney ($1,500-$3,000)

• In-person consultation
• Fully customized
• Same documents as online option
• 10-20x more expensive

Option 3: Software-Only (Not Recommended)

• LegalZoom ($279 + $199): Generic templates, attorney review costs extra $199
• Trust & Will ($499-$599): NO attorney review at any price
• Free templates: Risky, no oversight

Key Takeaways: Living Trust or Will California

• Most California homeowners need BOTH living trust + pour-over will
• Living trust avoids probate ($27K-$68K+ savings, 2-4 weeks vs 12-18 months)
• Will alone requires probate (expensive, slow, public)
• Pour-over will catches forgotten assets and names guardians for minor children
• Same cost to create ($150), very different total cost ($150 vs $38K-$68K+)
• Trust provides incapacity protection that a will doesn't
• If you own a California home, get a living trust
• Best option: Attorney-reviewed online service ($150 vs $1,500-$3,000 traditional attorney)

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About: Rozsa Gyene, California Estate Planning Attorney, State Bar #208356, 25+ years experience helping California families choose between living trusts and wills.

© 2025 Living Trust California. Rozsa Gyene, Attorney at Law, State Bar #208356.